The IRA is the place to make highly volatile investments that might incur large capital gains taxes. In contrast, your ordinary brokerage is the place for buy&hold + occasional rebalance.
I run some frequently traded strategies as a hobby (i.e., time spent >> my salary). My strategy is profitable (15-20% returns) though not scalable. The IRA is the perfect place for these, due to the tax implications.
Comments
The IRA is the place to make highly volatile investments that might incur large capital gains taxes. In contrast, your ordinary brokerage is the place for buy&hold + occasional rebalance.
Volatile \neq frequently traded; tax is not affected by commission rate.
I find it highly unlikely that almost anyone should trade anything frequently, even in the weirder corners of their portfolio.
I run some frequently traded strategies as a hobby (i.e., time spent >> my salary). My strategy is profitable (15-20% returns) though not scalable. The IRA is the perfect place for these, due to the tax implications.